Brewers' payroll dropping significantly for 2013

For the first time in many years, the Brewers' payroll is coming down for the 2013 season, and by a significant amount. I delve into all of the factors that led to that decrease in a story for the Journal Sentinel on Tuesday morning (to be posted on jsonline.com later Monday night).

Here is a tease to that story:

After Mark Attanasio took over as principal owner of the Brewers in January 2005, the team’s player payroll steadily increased by leaps and bounds, reaching a franchise record of $101 million at the start of last season.

With that backdrop, it is noteworthy that the payroll is coming down for the first time under Attanasio in 2013, and by a significant amount. As it stands now, the Brewers are projected to open the season with a payroll of just under $80 million, a decrease of more than 20% from a year ago.

Multiple factors came into play in reaching that reduced payroll level, including the desire of Attanasio and general manager Doug Melvin to maintain financial flexibility for future personnel moves. Another important component is their belief that it’s time to give homegrown starting pitchers – who won’t have big salaries – the chance to prove they belong in the major leagues.

Before Attanasio’s group bought the club, the Brewers were coming off a 2004 season in which budgetary cuts slashed payroll to $27.6 million, causing outrage among many fans. In 2001, the Brewers had opened Miller Park, a wonderful facility that was supposed to allow the team to afford higher salaries.

The team payroll jumped above $40 million in Attanasio’s first year as owner, and he often joked about fielding anxious questions beforehand as to whether the first number would be a “4.”

Since that season, the Brewers boosted their payroll annually, benefitting from major league baseball’s revenue sharing program and national TV money as well as banner home attendance. Not coincidentally, the team moved into a competitive mode on the field for the first time in many years, claiming the NL wild-card berth in 2008 and the Central Division crown three years later.

Those increases finally pushed the Brewers’ payroll to a record level at the start of the 2012 season as Attanasio stretched his budget in search of a second consecutive division title. The owner knew going in that he’d have little flexibility to make mid-season additions should the Brewers be in the playoff chase, which proved to be a moot point.

A bullpen meltdown knocked the team from the division race in July and instead of adding players, the Brewers traded ace Zack Greinke to the Los Angeles Angels for three minor-league prospects. The Brewers unexpectedly regrouped after that move and made a run at the newly instituted second wild-card berth before falling short and finishing with a disappointing 83-79 record.

Beyond Greinke’s $13.5 million salary, club executives knew a lot of money was coming off the books after the season. Left-hander Randy Wolf had been released in late August, leaving the Brewers with a $1.5 million buyout of his $10 million option.

Reliever Francisco Rodriguez, who made $8 million last year after unexpectedly accepting an arbitration offer, was allowed to leave via free agency. The Brewers decided right-hander Shaun Marcum ($7.725 million) was too much of a health risk to offer another contract.

After veteran shortstop Alex Gonzalez blew out his right knee early in 2012, the Brewers opted to pay a $750,000 buyout on his $4 million option for this year. Nearly $8 million more peeled away when outfielder Nyjer Morgan and relievers Jose Veras, Kameron Loe and Manny Parra were jettisoned from the roster.

When all was said and done, some $51 million had come off the books, more than half of the opening payroll for the 2012 season. So, what would the Brewers do with that financial leeway?

As happens in most years, some of the savings would be spent on salary raises for returning players, including those eligible for arbitration. The Brewers’ five arbitration-eligible players have already signed for a collective $13.645 million after making about $4.5 million as a group in 2012.

One thing the Brewers decided not to do was overspend on the free-agent market for pitching, though they were left with a relatively inexperienced group of starters without Greinke, Wolf and Marcum. The Brewers were burned at the end of multi-year, free-agent deals with Jeff Suppan and Wolf, and were determined not to step back out on the financial ledge.

For the rest of the story, check out jsonline.com later Monday night or the Journal Sentinel on Tuesday morning.

About Tom Haudricourt

Tom Haudricourt covers the Brewers and Major League Baseball. He was voted Wisconsin Sports Writer of Year for 2011 and 2012 by National Sportscasters and Sportswriters Association.